Bankruptcy (Désastre) (Jersey) Law 1990
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BANKRUPTCY (DÉSASTRE) (JERSEY) LAW 1990 Revised Edition 04.160 Showing the law as at 1 January 2018 This is a revised edition of the law Bankruptcy (Désastre) (Jersey) Law 1990 Arrangement BANKRUPTCY (DÉSASTRE) (JERSEY) LAW 1990 Arrangement Article PART 1 7 INTERPRETATION AND GENERAL 7 1 Interpretation ................................................................................................... 7 2 Power to make Rules ...................................................................................... 9 PART 2 10 APPLICATION FOR DECLARATION 10 3 Application for a declaration ........................................................................ 10 4 Persons in respect of whose property a declaration may be applied for ....... 10 5 Duty of court to refuse to make declaration in certain cases ........................ 11 PART 3 11 DECLARATION 11 6 Declaration .................................................................................................... 11 7 Debtor’s application to recall a declaration .................................................. 12 PART 4 13 EFFECT OF DECLARATION 13 8 Property of debtor at date of declaration to vest in the Viscount.................. 13 8A Rights under approved pension arrangements excluded ............................... 13 9 After-acquired property ................................................................................ 14 10 Prohibition on pursuing alternative remedies, etc. after declaration ............ 14 11 Special provisions regarding immovable property ....................................... 15 12 Special provisions regarding matrimonial home .......................................... 16 13 Special provisions regarding movable property ........................................... 18 14 Security interests ........................................................................................... 18 15 Power to disclaim certain onerous property.................................................. 18 15A Disclaimer of contract leases ........................................................................ 19 16 Powers of court in respect of disclaimed property ........................................ 19 Revised Edition – 1 January 2018 Page - 3 04.160 Arrangement Bankruptcy (Désastre) (Jersey) Law 1990 17 Transactions at an undervalue ...................................................................... 20 17A Giving of preferences ................................................................................... 22 17B Certain definitions in respect of Articles 17 and 17A .................................. 24 17C Extortionate credit transactions .................................................................... 26 17D Recovery of excessive approved pension arrangement contributions .......... 27 PART 5 29 CONTROL OVER PERSON AND PROPERTY OF DEBTOR 29 18 General duties of debtor................................................................................ 29 19 Failure to keep proper accounts of business ................................................. 30 20 Attendance of persons respecting debtor or the debtor’s property ............... 30 21 Unenforceability of liens on records............................................................. 31 22 Privilege of witnesses ................................................................................... 32 23 Viscount may make allowance to debtor ...................................................... 32 24 Debtors prohibited from acting in certain capacities .................................... 32 25 Requirement that debtor disclose declaration ............................................... 33 PART 6 33 ADMINISTRATION OF DEBTOR’S ESTATE 33 26 General powers of Viscount ......................................................................... 33 27 Power of Viscount to sell .............................................................................. 34 28 Reports by Viscount to creditors .................................................................. 35 PART 7 35 PROOFS OF DEBT 35 29 Provable debts ............................................................................................... 35 30 Creditors to prove ......................................................................................... 36 31 Proofs of debts to be examined and admitted or rejected ............................. 36 PART 8 36 DISTRIBUTION OF ASSETS 36 32 Order of payment of debts ............................................................................ 36 33 Distribution of assets .................................................................................... 38 34 Set off............................................................................................................ 38 35 Hire-purchase agreements ............................................................................ 39 36 Duty of Viscount to report to creditors and pay final dividend .................... 39 37 Surplus of assets ........................................................................................... 39 38 Status of debtor following distribution of assets .......................................... 40 PART 9 40 DISCHARGE WHERE DEBTOR IS AN INDIVIDUAL 40 39 Application of Part 9 ..................................................................................... 40 40 Application by Viscount for order of discharge ........................................... 40 41 Order of discharge ........................................................................................ 41 42 Effect of order of discharge .......................................................................... 41 Page - 4 Revised Edition – 1 January 2018 04.160 Bankruptcy (Désastre) (Jersey) Law 1990 Arrangement PART 10 41 ADDITIONAL PROVISIONS WHERE DEBTOR IS A COMPANY OR INCORPORATED LIMITED PARTNERSHIP 41 42A Interpretation – Part 10 ................................................................................. 41 43 Viscount to report possible misconduct ........................................................ 42 44 Responsibility of persons for wrongful trading ............................................ 42 45 Responsibility for fraudulent trading ............................................................ 43 45A Liability in respect of purchase or redemption of shares .............................. 43 45AA Liability in respect of returned contributions .................................................... 45 45B Liability as contributories of present and past members .............................. 45 45C Liability as contributories of present and past partners of incorporated limited partnerships ....................................................................................... 46 PART 11 46 ABOLITION OF CERTAIN CUSTOMARY LAW CONCEPTS 46 46 Norman Customary Dower ........................................................................... 46 47 Désastre maritime ......................................................................................... 47 PART 12 47 MISCELLANEOUS AND CITATION 47 48 Limitation of liability .................................................................................... 47 49 Assistance for other courts in insolvency matters ......................................... 47 49A Orders ............................................................................................................ 48 50 Registration in the Public Registry ............................................................... 48 51 Citation .......................................................................................................... 48 Supporting Documents ENDNOTES 49 Table of Legislation History......................................................................................... 49 Table of Renumbered Provisions ................................................................................. 50 Table of Endnote References ....................................................................................... 51 Revised Edition – 1 January 2018 Page - 5 04.160 Bankruptcy (Désastre) (Jersey) Law 1990 Article 1 BANKRUPTCY (DÉSASTRE) (JERSEY) LAW 1990 A LAW to amend and extend the law relating to the declaring of the property of a person to be en désastre; to make provision for the disqualification and personal liability of persons involved in the management of companies and other bodies corporate and legal persons; to abolish certain customary law concepts; and for connected purposes1 Commencement [see endnotes] PART 1 INTERPRETATION AND GENERAL 1 Interpretation (1) In this Law, unless the context otherwise requires – “claim” includes a claim for repossession of goods and a claim for rent; “Commission” means the Jersey Financial Services Commission established by the Financial Services Commission (Jersey) Law 1998;2 “Companies Law” means the Companies (Jersey) Law 19913; “company” means – (a) a company registered under the Companies Law (including a company originally registered under the Loi (1861) sur les Sociétés à Responsabilité Limitée4); (b) a foundation; (c) a corporation constituted under Article 4 of the Loi (1862) sur les teneures en fidéicommis et l’incorporation d’associations5; (d) an association constituted by Act of the States; and (e) a body corporate incorporated outside Jersey, Revised Edition – 1 January 2018 Page - 7 04.160 Article 1 Bankruptcy (Désastre) (Jersey) Law 1990 and references to directors and other officers of a company and to voting power at a general meeting of a company shall be interpreted with